The Prague Currency is the Czech koruna (CZK), which is the official currency of the Czech Republic. The koruna is abbreviated as “Kč” and has a symbol “CZK”. In this article, we will discuss everything you need to know about the Prague currency, including its history, denominations, and exchange rates.
History of the Czech Koruna
The Czech koruna has a rich history that dates back to 1993 when it replaced the Czechoslovak koruna after the peaceful separation of Czechoslovakia into two independent countries: the Czech Republic and Slovakia. The introduction of a separate currency for the Czech Republic aimed to establish economic stability and sovereignty.
Initially, the Czech koruna was introduced at an exchange rate of 1:1 with the Slovak koruna. However, over time, due to various factors such as inflation and economic developments in both countries, their values have diverged.
Denominations
The koruna is subdivided into 100 haléřů (haléř in singular). However, since 2008, haléřů coins have not been in circulation due to their low value. Currently, only banknotes are used for transactions in denominations of 1000 Kč, 500 Kč, 200 Kč, 100 Kč, and coins in denominations of 50 Kč, 20 Kč, 10 Kč, 5 Kč, 2 Kč, and 1 Kč.
Note: When dealing with cash transactions in Prague or any other city in the Czech Republic, it’s important to note that some smaller establishments may not accept large denomination notes (e.g., €100 or $100 bills), so it’s advisable to have smaller notes and coins for convenience.
Exchange Rates
The exchange rate of the Czech koruna varies against other major currencies, such as the Euro (€) and US Dollar ($). It’s important to stay informed about the current exchange rates when planning your trip to Prague or if you are involved in any financial transactions in the Czech Republic.
You can easily check the live exchange rates online or use currency exchange apps available for smartphones. It’s advisable to compare rates from different sources, such as banks and currency exchange offices, to ensure you get the best value for your money.
Tips for Currency Exchange
- Use Reliable Exchange Offices: When exchanging your currency, it’s recommended to use authorized and reputable currency exchange offices or banks. Avoid exchanging money on the street or from unofficial sources to prevent scams or receiving counterfeit notes.
- Avoid Airport Exchanges: Currency exchange services at airports generally offer less favorable rates compared to city exchanges.
If possible, wait until you reach the city center before exchanging your money.
- Be Aware of Commission Fees: Some currency exchange offices may charge additional fees or commission for their services. Always check for any fees beforehand to avoid surprises.
In conclusion, understanding the Prague currency is essential when visiting the Czech Republic. Familiarize yourself with the denominations, exchange rates, and tips for currency exchange to ensure a smooth financial experience during your stay in Prague. Enjoy your trip!